We issued the following statement in reaction to the Governor’s Budget Address today:

Business Leaders for Michigan is committed to supporting a comprehensive and holistic plan to transform Michigan’s economy and create jobs.  The Michigan Turnaround Plan we developed recognizes that no one action will turn around Michigan and identified five integral steps that are needed to make Michigan a “Top Ten” state for job & economic growth.

Fiscal, expenditure and tax reforms are the first three steps of the Michigan Turnaround Plan. We need to analyze the details of the Governor’s proposals, but are pleased she has proposed expenditure reforms.  While the Governor’s proposals represent a meaningful step in the right direction, they don’t go far enough to put the State on a stable long-term financial footing, but continue to rely on Federal stimulus funding that is likely to evaporate by next year. 

Click here to read the rest of our statement.

A copy of the budget can be found at: www.michigan.gov/budget

Business Leaders for Michigan are encouraged by the current leader reform proposals. We issued the following statement today:

We are encouraged that all three state leaders recognize the need to address many of the reforms identified in the Michigan Turnaround Plan and are coming forward with meaningful proposals for putting Michigan on the right economic track.  Business Leaders for Michigan strongly believes the time to act is now and that we can’t afford to put off advancing a holistic strategy to reform the State’s finances and start creating jobs.  We are committed to working with our state’s leaders, as well as other organizations with similar interests, to encourage agreement on a holistic strategy. Let’s bring together the best proposals advanced by these leaders and move Michigan forward.

From Detroit News: Economic revival requires bold moves

Dave Brandon and Michael Jandernoa

As legislators work to pass a budget, they should look at a comprehensive, holistic plan for turning around Michigan's economy. The Michigan Turnaround Plan, created by Michigan chief executives and senior executives, lays out the case for change, sets achievable goals, identifies specific action steps and explains the impact of change.

The best case short-term scenario for a new budget is that it is balanced with no tax increases. There are plenty of specific ideas for accomplishing this. But Michigan must begin immediately thereafter to start pursuing reforms to position itself for long-term, sustained economic growth. CLICK to read the rest....

On October 1st, we released the following statement in reaction to the Legislature’s failure to produce the 2010 State budget on time:  

We are extremely disappointed that a budget agreement reached by Senate Majority Leader Michael Bishop and Speaker of the House Andy Dillon has failed to be upheld. Both leaders deserve credit for trying to do the right thing for Michigan.  Senator Bishop, in particular, is to be commended for leading the Senate to pass a balanced budget three months ago.

Unfortunately, political posturing between and within the executive and legislative branches has delayed making the necessary tough decisions to pass a 2010 budget as required by our State Constitution. Instead, an avoidable temporary budget extension will cost the state more money when the state is already burdening a $2.7 billion deficit.

Michigan is suffering from the negative national media attention focused on our state’s dire and prolonged economic condition, and seeming inability to chart a reasonable course for recovery.  The inability of elected leaders  to enact a 2010 budget adds to the negative reputation that we are all working to improve, and hurts our ability to attract businesses and much needed jobs to Michigan. 

 Elected leaders must take three steps to regain the confidence of Michigan citizens:

 1) Pass a balanced budget that doesn’t increase the tax burden on already hurting citizens or job providers;

 2) Adopt meaningful reforms necessary to avoid future annual budget crises; and

 3) Significantly reform and reduce Michigan’s business tax to start re-growing our economy.

 The Governor and lawmakers have it in their power to do these three things this fall.  Our state’s future hangs in the balance.  So does the legacy and reputation of our state’s current leaders.

DOWNLOAD our Michigan Turnaround Plan for more reform ideas elected leaders can enact now.

The Detroit News' editorial board is highlighting ideas from various groups to promote discussion on reform and restructuring government and the economy..."50 Ways to Fix Michigan." Business Leaders of Michigan is a contributor to the series.  Take a look at some of the ideas we've submitted so far from our Michigan Turnaround Plan. Share these ideas with others to keep the dialogue going.

 50 ideas to fix Michigan

Idea 7: Reduce Michigan Department of Corrections costs by enacting management and sentencing reforms.  - 9/29/09

Idea 6: Reduce state employee compensation to the average compensation of state workers in the nation or the average of Michigan private-sector workers.

Idea 2: Eliminate binding arbitration for municipal police and fire workers.